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Newcastle Falcons have been threatened with legal action by Ospreys over their purchase of centre Josh Matavesi, reports The Rugby Paper.
The North East club have reportedly failed to pay the full £150,000 transfer fee for the Fijian speedster.
It’s been revealed that the Welsh club have demanded the overdue money, believed to be £80,000 after the Falcons made an initial payment of £70,000.
“They made one payment but refused to pay the rest,” revealed a source.
“Then it got to the stage where they wouldn’t talk about it. They left us with no other option but to issue and statutory demand.
“They will have to settle or face some serious consequences. It just goes to show that all is not as well in the English game financially as some say it is.”
A statutory demand for the recovery of a debt is the first step to wards high court proceedings.
If payment isn’t made within three weeks of receiving the notice, the creditor can then decide whether to petition for bankruptcy or issue a winding-up order.

A senior figure of Newcastle nevertheless has replied saying: “The money will be in Ospreys bank account on Monday.
“We were a bit late paying but it’s all been agreed and sorted, as of yesterday.
“We have work through it with Ospreys and there are no longer any issues.”

This sort of thing should never go public, but for all we know there may have been 'issues' that the Rugby Paper didn't mention, either because they don't know or because it would spoil their story. Stories are rarely as clear-cut as they appear in the media these days.

Monkey1This sort of thing should never go public, but for all we know there may have been 'issues' that the Rugby Paper didn't mention, either because they don't know or because it would spoil their story. Stories are rarely as clear-cut as they appear in the media these days.

That's why I'm saying it's embarrassing. Tho did we buy Matavesi out of his contract?

He had a year left at Ospreys and the norm is you pay the salary he would have earned or a negotiated settlement which in this case is £150,000 when it was announced we signed him most people presumed he had been released from his final year as at the time nothing was mentioned about a release fee but obviously he cost a few Bob.

manninWhy are we paying 150k for Matavesi is the bigger question. He's a good squad option but that seems a bit of a reach.

I read an article in which Josh Matavesi outlined how he had been approached firstly by a phone call from Goneva a Fijian team mate asking if he was interested in joining the Falcons as Deano was interested in signing him , as he was under contract the terms of his release must have included a payment which obviously Richards felt was worth it and he was given a salary and length of contract which he said was excellent for his and his families future.

digitalsysStorm in a tea cup methinks
Every manufacturing company I have worked in doesn't pay their bills until they are absolutely due, and usually a bit after that.

It can be a pain but welcome to the world of business at the shatp end

I fear there may be more to this. Why draw unwanted attention to the fact we were late making a substantial contractual payment, it leads only to negative speculation. I sincerely hope you are all correct.

digitalsysStorm in a tea cup methinks
Every manufacturing company I have worked in doesn't pay their bills until they are absolutely due, and usually a bit after that.

It can be a pain but welcome to the world of business at the shatp end

Agreed - nowt to worry about..... goes on in most businesses and probably most rugby clubs. Soar grapes from Ospreys to make a fuss..... I'd put money on the fact they don't pay all their bills on time.

digitalsysStorm in a tea cup methinks
Every manufacturing company I have worked in doesn't pay their bills until they are absolutely due, and usually a bit after that.

It can be a pain but welcome to the world of business at the shatp end

Agreed - nowt to worry about..... goes on in most businesses and probably most rugby clubs. Soar grapes from Ospreys to make a fuss..... I'd put money on the fact they don't pay all their bills on time.

I'd say it was pretty shrewd from the Ospreys. Have a chat with a journo about an outstanding debt for Sunday's papers. Get paid on Monday. Job done.

This "story" is straight out of the Daily Mail handbook. Splash on the most dramatic, shocking line to hook people in and then lower down, or on the continuation on the inside, put the fact which makes the whole thing a non event. It is an example of what I have dubbed the journalism of smear, sneer and fear. It is not a lie, but a distorted way of telling the truth. TRP should be ashamed of its descent.

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